How many homes does the U.S. need to solve its housing crisis? Depending on who you ask, the answer ranges from virtually none to as many as 20 million—or more, The Wall Street Journal writes.
A deep dive into competing estimates reveals why the number is so hard to pin down, hinging on assumptions about vacancy rates, household formation, affordability and regulation. Some economists argue the shortfall is driven by years of underbuilding and pent-up demand, especially among young adults priced out of forming their own households.
Others say the problem isn’t a lack of homes overall, but a mismatch between supply, location and price, pointing instead to wages and affordability as the real culprits.
The debate has major implications for housing policy, zoning reform and how aggressively governments should push new construction. What’s clear is that without agreement on the size of the problem, crafting a solution remains a moving target.
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